Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units):

Sales	$	60,000
Variable expenses		39,000
Contribution margin		21,000
Fixed expenses		14,700
Net operating income	$	6,300

1. What is the variable expense ratio?

2. If sales increase to 1,001 units, what would be the increase in net operating income? (Round your answer to 2 decimal places.)

3. If sales decline to 900 units, what would be the net operating income?

4. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income?